NHT to spend $12 billion more on new houses next fiscal year
THE National Housing Trust (NHT) plans to spend $46.58 billion in the 2024-25 fiscal year to start construction of more than 15,000 housing solutions and deliver 3,664 solutions for contributors.
This will represent a $12.61-billion increase in the NHT’s total housing expenditure, up from $33.97 billion last fiscal year, according to the Jamaica Public Bodies Estimates of Revenue and Expenditure for year ending March 2025.
In the document, which was tabled in the House of Representatives last Thursday by Finance and the Public Service Minister Dr Nigel Clarke, it is stated that total housing expenditure for the new fiscal year is expected to account for 92 per cent of the NHT’s total capital expenditure.
It further stated that the solutions to be delivered to the market during 2024/25 will be constructed under various NHT programmes, including: NHT projects – 987 solutions; labour and small contractors – 50 solutions; interim financed – 166 solutions; joint venture projects – 1,349 solutions; the guaranteed purchase programme – 242 solutions; the community renewal programme – 18 solutions; and 670 solutions through individual loans.
In the meantime, the document noted that the NHT intends to implement strategies to increase the number of active contributors during 2024/25 as well as continue to improve the management of its contribution portfolio.
These strategies, it said, will include increased use of technology and marketing and will see it implementing a loan end-to-end solution by June 30, 2024.
Additionally, the NHT is expecting that the implementation of these strategies will result in a 8.5 per cent increase in contribution collections to $61.68 million. Last fiscal year the collections amounted to $56.75 million.
Further, it said the NHT will also continue to take active steps to ensure the safety of its contributors through the refurbishing of police stations within proximity of its housing schemes.
These activities, the document outlined, will be executed at a cost of $770 million. In addition, the NHT will also pursue the upgrading of the infrastructure of some of its older schemes at a cost of $645 million.
The public bodies document further revealed that the NHT has forecast an operating surplus of $18.66 million.
Also of note, it said, is that the NHT projects to incur mortgage interest rate subsidy costs of $6.89 billion to facilitate funding of homes under its Joint Finance Mortgage Programme.